Value transfer systems and methods

ABSTRACT

One method involves the use of stored value account that may be used, for example, to make internet payments, and that can be credited using a variety of payment techniques. Such a method involves receiving money at a money transfer location from a potential purchaser. The money is then stored as an electronic record in a stored value account of the purchaser. This money is then available for transfer at the request of the purchaser. Upon such a request, the money may be electronically sent to a recipient and the stored value account may be debited.

This application is a continuation in part application and claims thebenefit of U.S. patent application Ser. No. 10/040,568, filed Jan. 4,2002, which is a continuation in part application of U.S. patentapplication Ser. Nos. 09/427,249, filed Oct. 26, 1999; Ser. No.09/975,171, filed Oct. 10, 2001, entitled “Method and System forPerforming Money Transactions”, and Ser. No. 10/037,827, filed Jan. 3,2002, entitled “Methods for Receiving Electronically Transferred FundsUsing an Automated Teller Machine”, the complete disclosures of whichare herein incorporated by reference.

BACKGROUND OF THE INVENTION

The present invention relates generally to computer-implemented transfersystems including systems and methods for introducing information to andreceiving information from a computer-implemented transfer system. Morespecifically, the invention relates to transferring value and/ormessages associated with the value via a computer-implemented transfersystem.

Various mechanisms exist for transferring information across a computernetwork. For example, email may be sent from one person to anotheracross a computer network or money may be transferred across a computernetwork from one account to another. However, each of the existingtransfer mechanisms require both a sender and a receiver involved in thetransfer to have access to a common transfer medium. Thus, as anexample, to transfer information across an email system both the senderand receiver must have access to an email account. Similarly, totransfer money from one account to another both the receiver and thesender must have accessible accounts. In many instances, the receiverand the sender do not have access to common systems and therefor mustuse alternative means to transfer information including, for example,the United States postal system.

Furthermore, even where both the receiver and the sender share access toa common transfer medium, use of the medium is often cumbersome causingsenders to use alternative means to transfer information and/or value.For example, a business and its suppliers may both have bank accountsmaking a money transfer possible, however, it is typical for a businessto issue checks and send them through the United States postal serviceto pay the suppliers.

Thus, there exists a need in the art to increase accessibility toprovide increased access to computer-implemented transfer systems andreduce the cumbersome nature of such transfer systems. These and otherdeficiencies in the prior art are addressed by the present invention.

BRIEF SUMMARY OF THE INVENTION

The invention provides a wide variety of money transfer systems,components of such money transfer systems, and methods forelectronically transferring money. Broadly speaking, the inventionpermits money to be received in some form and then electronicallytransferred to another location where it is available for pickup. A widevariety of systems and techniques may be used to access the moneytransfer system, to provide the money to the money transfer system totransfer the money, and to pay out the transferred money to a recipient.

For example, the money transfer system may be accessed by walking into amoney transfer or provider location and tendering payment, using atelephone to contact an IVR system or a customer service representative,over the Internet using any type of device capable of communicating overthe Internet, including personal computers, cell phones with browsers,PDAs and the like. Conveniently, payment may be tendered in cash, bycredit card, debit card, stored value cards, including smart cards,using an Automated Clearing House (ACH) transfer from a bank account,using a cash card that is presentable at a provider terminal or point ofsale device to receive cash, and the like. The recipient may be paid bycash, check, by crediting a bank account, crediting of a stored valuecard, and the like. Further various payment techniques may be used, suchas in person at a money transfer location (i.e. an entity working onbehalf of a financial institution to transfer funds), by an ACH transferto a bank account, by a Fed wire to a bank account, using ATMs, kiosks,stored value cards, automated check printers, and the like.

One particular method involves the use of stored value account that maybe used, for example, to make internet payments, and that can becredited using a variety of payment techniques. Such a method involvesreceiving money at a money transfer location from a potential purchaser.The money is then stored as an electronic record in a stored valueaccount of the purchaser. This money is then available for transfer atthe request of the purchaser. Upon such a request, the money may beelectronically sent to a recipient and the stored value account may bedebited.

For example, the money transfer location may include a device that iscommunicable with a host computer so that the stored value account maybe stored in the host computer. The purchaser may then make the requestto transfer money using any type of computer that may communicate with aserver computer over the Internet. In this way, a purchaser who wishesnot to provide financial information over the Internet may create astored value account using traditional techniques, such as making a cashpayment at a money transfer location. These funds are then available tobe used over the Internet without disclosing financial information.

By permitting funds to be received at a money transfer location, avariety of payment types may be used. For example, payments may be madeby cash, checks, credit cards, debit cards, and the like.

The invention provides another method for transferring money from asender to a recipient while permitting the recipient to receive themoney in a variety of payment forms and/or at different times. Accordingto the method, money is received from the sender (e.g., at a moneytransfer location) along with information on the recipient that is toreceive the money. An electronic record of the money and the intendedrecipient is created, and the recipient is provided with various paymentoptions for receiving the money. The recipient then requests paymentusing one or more of the payment options, and payment is made accordingto the requested payment option. An electronic record of the payment isalso created.

Examples of payment options include a cash pick up at a providerlocation, a hand delivery to the recipient in cash, a hand delivery tothe recipient in a money order, a crediting of an account of therecipient, a debit or stored value card, and the like. Further, therequest to receive the payment may be made in a variety of ways, such asby a telephone request, by a computer request over a network, by aletter, by an in-person visit, by a voice response unit request, by apersonal digital assistant request, and the like.

In one aspect, the card comprises a closed-loop debit card. Such a debitcard may be used at any location that is configured to accept such acard. For example, the debit card may comprise an anonymous debit card,e.g. one associated with MasterCard, VISA, Discover, and the like, thatis initialized when the request for payment by the recipient is made. Asanother example, the debit card may comprise a stored value card that isloaded with a record of the value upon request for payment by therecipient. As a further example, the debit card may comprise a phonecard or an internet cash card. These cards may be loaded with phoneminutes or other value as payment to the recipient.

When issuing a card at the time of payment, the debit card may beinitialized using a point of sale device to associate an account of thedebit card with the electronic record of the money. As an alternative, areceipt may be printed with a point of sale device that has accountinformation that is associated with the electronic record of the money.In some cases, the receipt may be used in place of the debit card. Forexample, the receipt may include an identifier that may be used whenmaking internet purchases. As another example, the receipt may comprisea sticker having the account information that is placed onto a debitcard.

The transferred money may be deposited into a wide variety of accounts.For example, the money may be transferred into a bank account of therecipient upon presentment of an account number or a MICR number from acheck of the recipient. As another example, the money may be depositedinto an on-line funds account, such as an on-line money transferaccount, an on-line bank account, an on-line investment account, anon-line auction account, and the like. As a further example, the moneymay be transferred into a bank account of the recipient by providing adebit card and performing a reverse or return transaction using a pointof sale device. As yet another example, the recipient may receiver asender key and a confirmation code from the sender. This information maybe input into an appropriate ATM or kiosk device to receive thetransferred money.

When using a point of sale device to pay to accounts using an accountnumber, a variety of equipment may be used. For example, the accountinformation may be obtained from a MICR reader that reads a MICR linefrom a check of the recipient, a mag stripe card reader that reads a magstripe from a card of the recipient, a keypad that permits manual entryof the account information, an OCR scanner or imager that reads theaccount from a statement of the recipient, a biometrics device thatidentifies a pre-registered recipient who is tied to the account, andthe like.

In one aspect, the recipient may be provided with a list of feesassociated with each type of payment option. Such a method also allowsfor the splitting of transaction costs between the sender and therecipient. For example, the sender may pay all or part of thetransaction fees and the recipient may pay all or part of thetransaction fees in any proportion. Further, the payment of transactionfees may be decided solely by the sender, by the recipient, or by mutualagreement.

The recipient may also be provided with the option of receiving portionsof the money at different times. In this way, the recipient does notneed to pick up the transferred money at a single time. If the recipientrequests payment of the money at multiple times, an electronic recordmay be made for each partial payment. Further, transaction fees may bededucted each time a partial payment is made.

Conveniently, the recipient may be sent a message with the paymentoptions. This message may be an e-mail, a letter, a telephone call, afacsimile, a telegram, or the like.

In a further embodiment, the invention provides a method fortransferring money from a sender to a recipient by receiving money fromthe sender along with information on the recipient that is to receivethe money. The sender also indicates that the money is to be stored on astored value card. An electronic record of the money and the intendedrecipient is also created. When ready to receive the money, therecipient makes a request, and a stored value card is generated havingthe value of the money. An electronic record of the payment is alsoelectronically stored.

The invention further provides an exemplary system and method forfacilitating the transfer of value. According to the method, a hostcomputer system is employed to receive a request from a sender totransfer value. This request may be transmitted from a remote computeror point of sale device. The host computer system is in turn employed totransmit a computer readable document back to the remote computerrequesting information on the requested transfer. Alternatively, theremote computer may be configured to prompt the sender for suchinformation without accessing the host computer system. The requestedinformation is received back at the host computer system that in turndetermines one or more options for transferring the value based on thereceived information regarding the transfer. The host computer systemmay then transmit a computer readable document containing at least oneof the options to the remote computer. In this way, a sender is able toprovide information on a transfer request and receive back a recommendedway to transfer the value.

As one specific example, such a process may be used for bill paymentservices. For instance, a customer may request to pay a bill and provideinformation on their account as well as a payment instrument. Thepayment instrument may be evaluated during a pre-authorization step toinsure funds are available. Further, based on the payment instrumentprovided, a list of possible payment options may be displayed at theremote computer. For example, the customer may have the option of payingby a real time guaranteed funds payment, such as by cash, a credit cardpayment, a debit card payment, a PIN-less debit card payment, an ACHpayment, a payment by check, or the like. Further, fees associated witheach option may be displayed to the customer.

To provide a recommended transfer technique, the host computer systemmay request a variety of information on the transfer. For example, suchrequested information may include personal information about a recipientof the value, value receiving interfaces available to a recipient of thevalue, pick-up locations available to the recipient of the value, andthe like. The host computer system may select a recommended transferoption from a wide variety of options. Such options may include, forexample, a transfer to a money handling location, a transfer to afinancial kiosk, a transfer to a cash dispensing machine, a transfer toa financial account, a transfer by way of a negotiable instrument, atransfer to a stored value card, and the like. In some cases, the hostcomputer system may transmit a computer readable document containing alist of all possible options for transferring the value. In this way,the sender may simply select one of the options.

A further embodiment of the invention provides a system and method fortransferring value where certain restrictions may be placed on thetransfer. According to the method, a host computer system is employed toreceive a request to transfer value to multiple recipients along withone or more restrictions about how the value may be received by therecipients. The host computer system may also receive a request toprovide the value to one or more of the recipients. The host computersystem may then be employed to determine the manner of the transferbased on the restriction.

Hence, based on the restriction, the transfer may be made. This mayoccur, for example, by transmitting a computer readable document fromthe host computer system giving instructions on how to pay out the valueaccording to the restriction. Also, the host computer system may receiveand stored information on how the value was provided to the recipientsso that a record of the manner of payment may be made.

The sender may utilize a wide variety of restrictions. For example, suchrestrictions may require that a portion of the value be provided to eachrecipient or may require a set a time limit for when the value may bereceived. As other examples, the restriction may be a designation as tothe form of value or a designation as to which of the recipients must bepresent when receiving the value.

In one embodiment, the invention accommodates situations where anindividual, small enterprise or the like has a periodic or short termneed to receive multiple payments or money transfers in an efficientmanner. To facilitate such a need, in one embodiment a method isprovided for paying for goods or services using a network. According tothe method, account information on a payee is input into a moneytransfer system. Further, at least one restriction is placed ontransfers into the account from one or more payors, and the restrictionis stored in the money transfer system. A cash payment may then bereceived at a money transfer location from at least one payor to pay fora good or service offered by the payee. A record may also be sent to themoney transfer system over a network indicating that the cash paymenthas been made. Funds may then be transferred to the account of the payeeover the network based on the cash payment using the money transfersystem. In this way, a payee may establish a special, limitedrelationship with the money transfer system to permit payors to pay thepayee according to the limitations placed within the system.

For instance, the restrictions may be those such as a limit on thenumber of allowed transfers into the account of the payee, a time periodfor making transfers into the account of the payee, the amount of eachtransfer into the account of the payee, and the like. Conveniently, thefunds may be transferred using an ACH transfer, a check, or the like.Further, a record of payment to the payee from the money transfer systemmay be transmitted to the payee so that the goods or services may beprovided. For instance, an item may be shipped from the payee to thepayor after receipt of the record of payment. Optionally, a transactionfee may be collected along with the payment.

These and other embodiments of the present invention are described inmore detail in conjunction with the text below and attached figures.

BRIEF DESCRIPTION OF THE DRAWINGS

A more complete understanding of the present invention may be derived byreferring to the detailed description and claims when considered inconnection the figures, wherein like reference numbers refer to similaritems throughout the figures, and:

FIG. 1A illustrates an embodiment of a transfer network including inputand output mechanisms according to the present invention.

FIG. 1B illustrates an interface system of the network of FIG. 1A.

FIG. 1C illustrates the input mechanisms of the network of FIG. 1A.

FIG. 1D illustrates an ATM network included in the network of FIG. 1A.

FIG. 2 illustrates an alternative embodiment of a transfer networkaccording to the invention.

FIG. 3 is a flow chart illustrating one method for transferring moneyusing a stored value account according to the invention.

FIG. 4 is a flow chart illustrating one method for transferring moneyusing various payment types and times according to the invention.

FIG. 5 is a flow chart illustrating one method for staging a moneytransfer transaction according to the invention.

FIG. 6 is a flow chart illustrating one method for eliciting informationon a transfer and providing a recommended way for making the transfer.

FIG. 7 is a flow chart illustrating one method for eliciting informationon how a transferred value is to be used and for providing a recommendedway to use the transferred value.

FIG. 8 is a flow chart illustrating one method for replacing one or morerestrictions on a transfer of value.

FIG. 9 is a flow chart illustrating a method for paying for goods orservices using a network according to the invention.

DETAILED DESCRIPTION OF THE INVENTION

The invention provides various equipment and techniques for movingmoney. The invention permits money to be received in some form and thenelectronically transferred to another location where it available forpickup or further processing. In order to make a money transfertransaction, an interface with the money transfer system is needed.Accordingly, a wide variety of interfaces may be used to access themoney transfer system. For example, the money transfer system may beaccessed by walking into a money transfer or provider location andtendering payment, using a telephone to contact an IVR system or acustomer service representative, over the Internet using any type ofdevice capable of communicating over the Internet, including personalcomputers, cell phones with browsers, PDAs and the like. Theseinterfaces may be accessed by both the sender and the recipient.

The invention further permits a wide variety of payment instruments tobe used to tender payment. For instance, payment may be tendered incash, by credit card, debit card, stored value cards, including smartcards, using an Automated Clearing House (ACH) transfer from a bankaccount, using a cash card, and the like. Similarly, a wide variety ofpayment techniques may be used once the money has been transferred. Forinstance, the recipient may be paid by cash, by check, by money order,by crediting a bank account, by crediting a stored value card or storedvalue record, and the like. Further various payment techniques may beused to provide the recipient with the money. These include permittingthe recipient to personally receive the money at a money transferlocation, by an ACH transfer to a bank account, by a Fed wire to a bankaccount, using ATMs, kiosks, stored value cards, automated checkprinters, and the like.

Various combinations of the above may be practiced according to theinvention. For example, any of the access methods may be used with anyof methods for tendering of payment or receiving payment. Further, anyof the above may be used with any of the payment devices. Moreover, arecipient may be used to access the system in order to request moneyfrom one or more senders.

Referring to FIG. 1A, one embodiment of a transfer system 100 accordingto the present invention is described. Transfer system 100 is comprisedof an interface system 125, an automatic teller system (“ATM”) system145, a deposit maintenance network 150, a credit maintenance network 160and a central exchange 170. Interface system 125 is communicably coupledto ATM system 145 via an ATM network 140, deposit maintenance network150 and credit maintenance network 160. In general, interface system 125unifies a variety of transfer systems while supporting a variety ofmechanisms for introducing and receiving information to and/or fromtransfer system 100.

Interface system 125 is described in greater detail hereinafter withrespect to FIGS. 1B and 1C, and generally comprises an interfaceexchange 130, a provider terminal 110 and a user terminal 112 incommunication via an interface network 120. Interface network 120provides message based communications between provider terminal 110 anduser terminal 112 and interface exchange 130. In alternativeembodiments, interface network 120 provides for communication betweenprovider terminal 110 or user terminal 112 and interface exchange 130,but not between provider terminal 110 and user terminal 112. In someembodiments, interface network 120 comprises a TCP/IP compliant virtualprivate network (VPN). However, it should recognized that othercommunication networks could be used to provide similar functionality.For example, interface network 120 could be the Internet, a local areanetwork (LAN), a wide area network (WAN), a telephone network, acellular telephone network, a virtual private network (VPN), an opticalnetwork, a wireless network, or any other similar communication network.

Referring to FIG. 1B, interface system 125 is described in greaterdetail. Interface system 125 provides access into transfer system 100and permits a wide variety of payment instruments to be used to receivepayments. For example, money to transfer may be made by presenting cash,checks, stored value cards, credit cards, debit cards, cash cards, by anACH transfer from a bank account, and the like. To accommodate suchpayment instruments and types, various input devices 126, such asterminals or interfaces may be used. For example, a local providerterminal 110 a may be used to accept cash, credit cards, checks, debitcards, stored value cards and smart cards. Such terminals may also beused at the payout end to print a check or money order, or to credit acash card or stored value card. Examples of such terminals are describedin copending U.S. application Ser. No. 09/634,901, entitled “POINT OFSALE PAYMENT SYSTEM,” filed Aug. 9, 2000 by Randy J. Templeton et al.,which is a nonprovisional of U.S. Prov. Appl. No. 60/147,899, entitled“INTEGRATED POINT OF SALE DEVICE,” filed Aug. 9, 1999 by Randy Templetonet al, the complete disclosures of which are herein incorporated byreference.

A kiosk terminal 110 b may also be used and will be described withreference to FIG. 1C. In so doing, it will be appreciated that terminal110 b may be used to make payments to a recipient as well as to receivemoney from a sender. Terminal 110 b includes a controller 200 thatcommunicates with various devices such as a computer 202, a PDA port204, a telephone 206, a card reader 208, a card writer 210, a cardissuer 212, a message issuer 214, a cash issuer 216, and a check printer218. Terminal 110 b may include some or all of these devices. Computer202 may include standard computer components as is known in the art,such as a screen display, one or more input devices, such as a keyboard,a pointing device, a touch screen, a speaker for voice recognition, andthe like. In this way, various information regarding the money transfermay be input into the transfer system. Computer 202 may communicate withinterface network 120 using a variety of communication techniquesincluding via an internet interface 112 a, a dedicated telephone line,and the like. Conveniently, computer 202 may include a web browser toproduce web pages as is known in the art. Hence, with computer 202 auser may input the payment type, such as a credit or debit card number,stored value account information, loyalty program account information,and the like, along with information on the recipient. This informationmay then be processed by interface exchange 130 to complete thetransaction.

PDA port 204 permits a PDA device to be coupled to terminal 110 b. Inthis way, a transfer may be made directly from the sender's PDA whichmay conveniently be pre-programmed with various information relating tothe transaction, such as account numbers, information on the recipient,and the like. In this way, transactions may be made in a manner similarto that using computer 202, but with the sender's personal PDA device.If needed, controller 200 may communicate with a PDA interface 112 b inorder to communicate with interface network 120.

Telephone 206 permits transactions to be staged by voice. For example,by using a telephone interface 112 c, various aspects of the transfertransaction may be given over telephone 206. For example, telephone 206may be used to call a customer service representative to have atransaction staged. The sender may then receive a transaction numberthat may be given to a provider when presenting the money to transfer.The provider may use this number to access the staged information,thereby speeding up the transaction. Alternatively, such a transactionmay be accessed at computer 202 by inserting the number to permit thestaged transaction information to be accessed. Payment information maythen be obtained at kiosk 200, such as by inserting cash, a check, acredit, debit or smart card, or the like into an appropriate reader. Asan alternative to using a customer service provider, the transactioninformation may be entered using an IVR system that records theinformation and submits it to interface network 120.

Telephone interface 112 c may also be used to permit cell phone users toaccess the transfer system. In this way, cell phone minutes or otherstored values associated with the cell phone may be transferred usingsystem 100. Further, telephone interface 112 c permits money to bewithdrawn from the transfer system. For example, a phone may be used tomake a request to have money withdrawn from a bank account, credit cardaccount, stored value accept, or the like. This may be done by callingthe bank account or credit card organization directly and requesting awithdrawal at a given location. The bank or credit organization may thencontact interface exchange 130 to make the funds available at therequested location, such as at a local provider terminal.

As another example, a cell phone may be used to access a point of saledevice, kiosk, local provider terminal or the like using a telephoneinterface of one of those devices. A request may then be made tointerface exchange 130 for the funds. A value or foreign currencyconversion may be performed by interface exchange 130 as describedherein and an authorization may be sent back to the location where therequest was made to payout the funds. In this way, a person in a foreigncountry may easily access cash by simply locating a provider, kiosk orthe like, using a cell phone to request money, and then receiving thepayment in the local currency. Optionally, a verification step may berequired, such as by requesting the entry of a PIN to ensure the correctrecipient is receiving the money.

Card reader 208 may be used to enter a variety of information. Forexample, a sender may have a card with various pre-stored transactioninformation, such as the sender's name, identification number, paymentinstruments, and the like. These may be used to populate a transactionscreen on kiosk 110 b. Card reader 208 may also be used to readinformation from credit, debit, smart and stored value cards. In thisway, a sender may provide the system with the money or value to transfersimply by inserting the card with the desired account information intocard reader 208. Further, reader 208 may be used to read informationfrom an ID or payment card of a recipient who is to receive atransferred value.

Card writer 210 permits information to be encoded and stored on avariety of cards. For example, information on each transaction may bestored on a customer card of the sender. Card writer 210 may also beuseful when the kiosk serves to pay money or value to a recipient. Forexample, writer 210 may be used to add value to a stored value or smartcard of a recipient.

In some cases, cards may be issued to either a sender or a recipientusing card issuer 212. For example, a customer card may be issued to asender who registers with the system. Card issuer 212 may also be usedto issue cards when making payments to recipients. For example, cardissuer 212 may issue stored value cards, smart cards, cash cards and thelike. These may be used at other kiosks or ATMs to withdraw thetransferred money or value.

Message issuer 214 permits a message transmitted from a sender to beprovided to a recipient. Message issuer 214 may be used to produce themessage on a display screen of computer 202 or to print the messagewhich is dispensed to the recipient.

Cash issuer 216 is used to dispense cash to a recipient. In this way, arecipient may receive a cash payout from a kiosk which has been sentfrom a sender using any of the techniques described herein. The cashpayout may be made once the recipient is properly identified, such as byinserting a customer card into card reader 208 and optionally byentering a PIN. Cash payouts may also be made by inserting a card havinga stored value that is stored within interface exchange 130. In thisway, once a recipient that has been issued a stored value card, therecipient may take that card to any kiosk for partial or full payment.Further, conversions may be made when making the withdrawal. Forexample, a recipient may have a stored value card with cell phoneminutes, and may request that these be converted to cash. Also, foreigncurrency conversions may be made. Such a transaction is facilitated byinterface exchange 130 as described herein.

A sender may also access the money transfer system using his or her owncommunication devices. For example, by using an internet interface 112a, transfer system 100 may be accessed by any type of computer that iscapable of accessing the internet. Information on the payment instrumentor type may then be communicated to transfer system 100 through theinternet. Such payment instruments or types include credit cards, debitcards, stored value cards, cash cards, ACH bank transfer information,and the like. As another example, a PDA interface 112 b may be used topermit PDA devices to communicate with transfer system 100. Similarpayment instruments and payment types may also be presented using PDAinterface 112 b. Another example is through a telephone interface 112 c.In this way, communications may be made over the telephone, to acustomer service representative, through an IVR system, and the like.Similar to the other interfaces, a wide variety of payment instrumentsand types may be communicated into the system through this interface,including credit cards, debit cards, stored value cards, cash cards, ACHbank transfer information, and the like.

After passing through interface network 120, the information regardingthe transfer is sent to interface exchange 130 that has a networkprocessor 132 to process the data. This is then sent to a host 133 thatmay communicate with a value translator 135, a database 136, asettlement engine 137 and a messaging engine 138 that in turn maycommunicate to a message translator 139. The information received byinterface exchange 130 may include information on the sender,information on the recipient, the type and amount of payment, a desiredlocation to transfer the money, and the like. In some cases, a valuetranslator 135 may be needed to change the type of value. For example,value translator 135 may do a foreign currency conversion, or maytransfer from one type of value to another, e.g. frequent flier miles todollars. All information that is processed may conveniently be stored indatabase 36.

Settlement engine 137 may be used to facilitate the crediting anddebiting of various accounts during a transfer. For example, if a senderrequests that funds from a credit card account be used in the transfer,settlement engine 137 is used to contact the credit network to chargethe card and to manage the fees involved in the transaction. Such feesmay be those charged by the credit organization as well as internal feesthat are a part of the money transfer transaction. Settlement engine 137may be used in a similar manner when crediting or debiting checkingaccounts, stored value accounts, customer loyalty points and the like.

In some cases, the sender may also wish to send a message with themoney. Such a message may be a simple greeting, business or legal terms,and the like. Messaging engine 138 is employed to convert the message tothe proper format depending on the type of output device that is to beused with receiving the money. For example, the output device may be aprinter that physically prints the message onto some type of media.Alternatively, the message may be temporarily displayed on a displayscreen, such as on a kiosk, ATM machine, point of sale device, ane-mail, a web page or the like. The sender or recipient may alsoindicate that the message needs to be translated to a differentlanguage. In such cases, message translator 139 may be used to translatethe message into the other language. This may be accomplished by simplydoing a word look up for each corresponding word in the other language.More complex language translation capabilities may also be used.

Once the transfer request is properly processed, it is sent by a switch134 to the appropriate network as shown. This may be to ATM network 140,deposit maintenance network 150 and/or credit maintenance network 160 tocomplete the transaction. As described hereinafter, in some cases theentire money transaction may occur without assistance from any of thesenetworks, such as when transferring money between one stored valueaccount and another. Optionally, the transaction may also make use ofcentral exchange 170 which may comprises the Federal Reserve System, anassociation of banks, such as NACHA, a cell phone network, or the like.

With such a configuration, a wide variety of payment options arepossible. For instance, the sender may request that the funds bewithdrawn from a sender's bank account. In such as case, interfaceexchange 130 communicates with depositing maintenance network 150 tomake the withdrawal. This transaction may also involve central exchange170. Once the funds have been withdrawn, they may be retrieved by thesender using a wide variety of techniques. For example, the funds may bepaid out to the recipient by delivery to a provider location, at akiosk, at a point of sale device, at an ATM, via the internet using astored value account, at the recipient's bank account after a Fed wireor an ACH transfer, by a stored value card or a smart card, by a cashcard, and the like.

As one specific example, a sender may request that the money beavailable for pick-up at an ATM or a bank. In such cases, the money maybe deposited into a recipient's bank account using deposit maintenancenetwork 150. One example of such a system for transferring money into arecipient's bank account is described in copending U.S. application Ser.No. 09/516,209, filed Feb. 29, 2000, the complete disclosure of which isherein incorporated by reference. However, other systems may also beused. Central exchange may facilitate this transaction by doing a wireto the bank accounting using the Federal Reserve System, by an ACHtransfer, or the like. In this way, the money may be retrieved using anATM, by visiting the bank, or by any other withdrawal technique offeredby the bank. For example, payment may be made by cash, by a printedcheck, by crediting a smart card or stored value card, or the like. Thismay be done by providing the ATM or other payout device, such as akiosk, with the appropriate equipment for making such payments. Asanother example, interface exchange 130 could maintain a stored valueaccount for the recipient. Funds may then be withdrawn from ATM 114using any of the techniques described herein, and the account debitedonce ATM network 140 communicates with settlement engine 137. Also, oncea stored value account has been created, the funds may be withdrawnusing a wide variety of other techniques, such as by depositing theminto a bank account of the recipient, by crediting a credit card accountof the recipient, and the like.

If a credit card is involved in the transaction, either for sending orreceiving, credit maintenance network 160 may be accessed. For example,if the sender uses a credit card, interface exchange 130 accesses creditmaintenance network 160 via settlement engine 137 to approve the fundsand to send a request to charge the credit card account. Once the fundsare available, they may be paid out to the recipient using a widevariety of techniques, such as by delivery to a provider location, at akiosk, at a point of sale device, at an ATM, via the internet using astored value account, at the recipient's bank account after a Fed wireor an ACH transfer, by a stored value card or a smart card, by a cashcard, and the like in a manner similar to that described herein. Thepayment may also be credited to the recipient's account by havingsettlement engine 137 send it a credit request to credit maintenancenetwork 160.

Check printer 218 may be used to print a check to a recipient. In thisway, payouts may be made in the form of a check. Although not shown, animager may also be used to scan checks so that money to be transferredmay be input in the form of a check. Printer 218 may also be used toprint a receipt for a given transaction.

As shown in FIG. 1C, kiosk controller 200 may also be configured tocommunicate directly with ATM network 140. In this way, the kiosk mayfunction as an ATM in addition to being able to perform money transferfunctions as described herein.

It will be appreciated that some or all of the components of kiosk 110 bmay be incorporated into other devices that are used to access system100. For example, such components may be used in a provider terminal, apoint of sale device, an ATM machine, and the like. Further, kiosk 110 bmay be configured to communicate with a local provider terminal 110 a asshown in FIG. 1C to communicate with interface network 120.

Referring to FIG. 1D, ATM system 145 will be described in great detail.ATMs 114 and 116 each include a controller 114 a and 116 a, that arecoupled to cash issuers 114 b and 116 b, ATM access modules 114 c and116 c, card writers 114 d and 116 d, card readers 114 e and 116 e, cardissuers 114 f and 116 f and message issuers 114 g and 116 g. Cash issuer114 is employed to dispense cash to a recipient based on a previoustransfer. Access module 114 c provides access to the ATM using a varietyof components, such as a touch screen, a keyboard, a voice recognitionsystem, and the like. In this way, various information regarding atransfer request or a pick up may be entered into controller 114 a. Cardwriter 114 c and card reader 114 e permit various information to bewritten onto various cards and read from various cards in a mannersimilar to that previously described in connection with kiosk 110 b.Card issuer 114 f permits various cards to be issued in a manner similarto that previously described in connection with kiosk 110 b. Messageissuer 114 g permits various messages to be provided to the user in amanner similar to that described in connection with kiosk 110 b.

The ATMs communicate with each other over ATM network 140. ATM system145 includes a host 141 that is coupled to a database 142 to facilitatethe processing and storing of data that is transferred between each ATM.With such a configuration, money transfers may be made between ATMssimply by coupling to interface exchange 130. For example, informationabout a transfer may be input into ATM 114 using access module 114 c andoptionally also card reader 114 e. The request is sent from ATM network140 to interface exchange 130 which processes the transaction in amanner similar to that previously described. The money may then bewithdrawn by the recipient at any other ATM simply by accessing the ATMthrough access module 114. The transferred money may then be dispensedfrom cash issuer 114 b.

The ATMs may also be used as a payout device in connection with any ofthe other transfer techniques described herein. For example, money to betransferred may be provided using any of the input devices 126. Arequest may also be made to have the money available at an ATM. Themoney may then be retrieved from the ATM, either by debiting the accountstored at interface exchange 130 or by depositing the funds into a bankaccount of the recipient as previously described.

It should be recognized that other embodiments of transfer system 100are possible according to the present invention. For example, anotherembodiment of a transfer system 101 is illustrated in FIG. 2. In thisembodiment, transfer system 101 comprises provider terminal 110, userterminal 112, kiosk terminal 110 b, and ATM's 114, 116 in communicationvia interface network 120. Interface exchange 130 exchange functionalitypreviously described in relation to FIG. 11B. Each of kiosk terminal 110b and ATM's 114, 116 can communicate via ATM network 140 to centralexchange 170. In this way, transfers as previously described involvingcentral exchange 170 can be accomplished without a direct interfacebetween interface exchange 130 and ATM network 140 or other networks.Rather, such transfers can be accomplished by providing dualcommunication functionality in kiosk terminal 110 b and/or ATM's 114,116.

Referring now to FIG. 3, one method for transferring money using thetransfer system previously described will be set forth. Such a method isparticularly useful in creating a stored value account that may be usedto make internet or other electronic payments without disclosing anyaccount information to the seller or recipient. As shown in step 200, auser provides the money to a provider of the money transfer system. Thispayment may be made in any form accepted by the provider who keeps thisinformation confidential. The payment information may be input into thelocal provider terminal (see FIG. 1B). As shown in step 210, a storedvalue account is credited with this payment. This may occur withininterface exchange 130 (see FIG. 1B). The money may be placed into thestored value account by having the sender designate the user's storedvalue account, or the user may contact interface exchange 130 andrequest that the funds be placed into the user's stored value account.The user may then make a desired purchase as shown in step 220. As oneexample, the purchase may be made over the internet. When payment isrequested, the user may access his stored value account, using forexample, internet interface 112 a (see FIG. 1B). One convenient way topermit the stored value account to be used for payment is to provide alink at the seller's web site to the web site managing the stored valueaccount. Information on the transaction may then be provided to permitthe stored value account to be debited as shown in step 230 and tocredit the seller as shown in step 240. This transaction may beperformed using settlement engine 137 of interface exchange 130 (seeFIG. 1B). A wide variety of seller accounts may be credited, including achecking account, a credit card account or a stored value account usingtechniques previously described.

One advantage of such a method is that information about both a buyerand a seller may be kept confidential. For example, a buyer may paymoney into the system which is transferred to the seller, without anyknowledge of the buyer if the buyer chooses. In a similar manner, anydata on the seller may be kept from the buyer.

In one alternative, money paid into the system may be at the request ofa recipient. For example, money may be paid in to obtain a stored valuecard or to pay for services, such as a pre-paid telephone service. Insuch cases, the user may be prompted to enter how much money is to bepaid. For example, the message may be that $50 is required in order toprepay for telephone minutes. The information is provided into thesystem from the recipient. The sender may also be provided with theoption of varying the amount that is paid in, along with the addition ofa message.

FIG. 4 illustrates a method for transferring money where the recipienthas the option of receiving the money in different payment types and atdifferent times. The process begins at step 250 where the money to betransferred is entered into the money transfer system. Conveniently, thesender may have the option of sending a message along with the money.This may be received in any language requested by the sender or therecipient using the message translator 139 (see FIG. 1B). In some cases,the message may be separate from the money transfer. For example, themoney may be electronically transferred to a recipient's bank accountwhile a message is sent to a printer or to a computer of the recipientto notify the recipient of the transfer. This may be useful, forexample, when making a payment of aggregated bills. The payments may beaggregated and sent to the recipient's bank account, and a separatereceipt sent to the recipient giving the details of each payment.

When ready to receive the money, the recipient accesses the moneytransfer system using any of the techniques described herein. Therecipient is provided with a variety of payment options as shown in step260. This may be, for example, payment in cash, check, money order, astored value card, a deposit into a checking account, a credit to acredit card account, or the like. Further, the recipient may requestpayment in any currency or other type of stored value using valuetranslator 135 (see FIG. 1B). For example, if living in Mexico, therecipient could request payment in Pesos, and could also request thatany message be delivered in Spanish. The recipient selects the paymenttype as shown in step 270 and is then provided with the option ofreceiving a full payment, or partial payments over time as shown in step280. If full payment is selected, the process proceeds to step 310 wherefull payment is made according to the requested payment type.Optionally, a fee may be charged according to the payment type as shownin step 320. If a partial payment is selected, the process proceeds tostep 290 where a partial payout is made according to the requestedpayment type and the stored value account is debited. A fee mayoptionally be deducted as shown in step 300. At any time, the recipientmay again access the money transfer system to receive the rest of thetransferred money.

FIG. 5 illustrates a method for staging money transfer transactioninformation into the transfer system before presenting payment at aphysical location in order to reduce the transaction time or simply toassist in the transaction. For example, a customer may access the moneytransfer system through the internet or a customer servicerepresentative. In some cases, the sender may not qualify for a creditcard payment or may simply experience a difficulty in completing thetransaction. In such cases, the process proceeds by contacting thetransfer system as shown in step 330. The information needed to stagethe transaction is then provided as shown in step 340 and then stored ina database as shown in step 350, such as within interface exchange 130(see FIG. 1B). Optionally, the sender may be giving a transaction numberor other identifier and is then directed to a provider location as shownin step 370. The sender provides this information to the provider whoenters this into the system, such as by using the local providerterminal 110 a (see FIG. 1B). This causes the corresponding record inthe database to be accessed and sent to the provider terminal toautomatically populate fields on the screen. All the sender is thenrequired to do is to provide the proper payment to the provider. Themoney may then be transferred using any of the techniques describedherein as shown in step 380.

Further, it will be appreciated that a variety of other transfer methodsmay be performed using the transfer system described herein. Forexample, to expedite a money transfer transaction, senders may beprovided with customer cards having staging information stored on thecard. Such information may include, for example, the sender's name,account number, contact information and the like. This card may then beread using the provider terminal 110 a (see FIG. 1B) to populate thefields displayed on the display screen. The sender may then presentpayment along with information on the recipient.

In some cases, the recipient may wish to withdraw the transferred moneyfrom an ATM. However, in order to access existing ATMs, a user mustpresent some type of card. As such, after a transaction is sent, thetransfer system may deliver an ATM access card to the recipient by sometype of mailing method. A separate mailing may optionally be done toprovide a PIN to the recipient. This card may include information thatis readable by the ATM to permit access so that the money may bewithdrawn. Such cards may also function as cash cards or other type ofstored value cards so that the money may be withdrawn based oninformation supplied by the card, rather than by accessing the moneytransfer system. As another option, the ATM may be configured to beaccessed with any type of card, such as a driver's license, ATM cardcredit card, and the like. Once accessed, a home screen may be displayedthat permits access to interface exchange 130 (see FIG. 1B) to completethe money transfer as previously described.

The transfer system may also find use in cases where individuals do nothave a credit or debit card to make internet purchases. In such cases, acustomer may go to a provider location and purchase a cash card (thatmay be a physical or a virtual card, i.e. an identification number)using local provider terminal 110 a (see FIG. 1B). The cash card is usedby the money transfer system as a pointer to a record of the money paidby the customer into the system and that is available for transfer.Hence, after making an internet purchase, the customer may provide theseller with information from the cash card. The seller then presentsthis information to the money transfer system which checks theinformation and then transfers the money to the seller using any of thetechniques described herein.

In some cases, interchange fees may be used when making transfers usinga credit card. To avoid such fees, a money transfer may be made using acheck, debit card, an ACH transfer to a bank account or the like. Insuch cases, the payment may be made at a provider location, over theinternet, or using other techniques described herein. The money transfersystem then waits for the funds to paid before making the fundsavailable. Once available, the recipient may receive the funds in cashfrom the money transfer system, such as by picking up the funds at aprovider location.

As another example, a deliverer of goods may use the transfer system toreduce or eliminate the amount of cash received and carried during dailydeliveries. Currently, when delivering goods, the delivery person isprovided with payment at each location where goods are delivered. Thecumulated payments are then deposited at the end of the day. However,the delivery person faces the risk of being robbed or of misplacing thepayments during the daily activities. According to the invention, thetransfer system is able to use a point of sale terminal, such as thelocal provider terminals 10 a (see FIG. 1B) to credit a stored valuecard carried by the delivery person. In this way, each time a deliveryis made, the card is presented to the buyer who updates the card with acredit using the terminal. The transfer system is also able to debit astored value of the buyer, or may ask for some other form of paymentthat is entered into the terminal. When required, such as at the end ofthe day, the delivery person may take the stored value card to his ownterminal to update the credits into the transfer system. Of course,payouts may be made using any of the techniques described herein,including crediting of bank or credit card accounts, payment of cashfrom an ATM, and the like. By using such a card, the delivery persondoes not need to carry large amounts of cash throughout the day.

The transfer system may also be used to facilitate business to businesstransactions as well. For example, a merchant may keep a computerizedrecord of their accounts payable using software known in the art.Periodically, multiple payments may be made by simply loading theaccounts payable information into the money transfer system, such as byusing a connection to the local provider terminal 110 a or throughinternet interface 112 a (see FIG. 1B) along with a request to have thepayments made. These payments may be made using any of the techniquesdescribed herein, including by cash, credit card, debit card, storedvalue account, or the like. Using messaging engine 138 (see FIG. 1B), amessage may also be sent to each recipient giving information about theaccount. Each recipient may also be given the option of taking paymentin any of the payment forms as described herein. Conveniently, themerchant may have recipient profiles stored within the transfer system,so that payments may automatically be made according to the profile eachtime a request is made.

Hence, the payment systems of the invention are configured to provide awide variety of techniques for presenting funds from a money transferreceive transaction to a customer. These include, for example, the useof a closed-loop debit card that may be used at customized ATMs for cashor in-lane purchases if within a subscribing network. For instance, adebit card may be loaded with funds and then used within a network of agiven retailer or association of retailers to make purchases. Further,an anonymous debit card may be used, such as those offered byMasterCard, VISA, Discover, and the like. In such cases, funds may beprovided to a money transfer location to set up an account. A card maythen be initialized and provided to the recipient with a PIN or otheridentifier. Other types of cards that may be used to receive fundsinclude stored value cards, pre-paid phone cards, pre-paid internet cashcards and the like.

When funds are paid out in connection with a card, the recipient's cardmay be presented to any of the terminals described herein, such as a POSdevice, which communicates with interface exchange 130. The terminalreads the number off of the card to associate the card account with thetransferred funds. For example, a recipient may enter identificationinformation, such as their name, into a POS device to access the recordof the funds to be paid. The card may then be swiped on the POS deviceto read the card number and to permit the card account number to beassociated with the funds. The funds may then be credited to the accountusing any of the techniques described herein. In some cases, the sendermay dictate that the funds are to be paid out in the form of a storedvalue card. The sender may also indicate the type of value to be storedon the card, e.g., money, phone minutes, and the like.

As another option, the card number may be assigned dynamically by thehost system, such as interface exchange 130, and then a receipt issuedto the recipient that contains an account number. For example, aterminal, such as a POS terminal, may issue a paper receipt or a stickerthat may be placed onto a card or other media and which contains theaccount number. Value from the account number may be redeemed usinginterface exchange 130 using any of the techniques described herein.

The payment systems of the invention may also be used to pay funds to abank account of the recipient using a MICR number from one of therecipient's checks. For example, the recipient may submit the MICRnumber to interface exchange 130 using any of the interfaces describedherein, including a POS device having a reader. In this way, therecipient may receive the funds by entering identifying information intothe POS device and then swiping the check through the POS device to readthe MICR line. Once the account information is read, it is transferredto interface exchange 130 where the funds may be deposited into therecipient's account using the techniques described herein. Similartechniques may also be used to transfer funds to the recipient's bankaccount using the recipient's debit card. For example, the recipient'sdebit card may be swiped at a POS terminal to create a reverse or returntransaction where the recipient's account is credited with thetransferred funds. Interface exchange 130 may make use of depositmaintenance network 150 to perform this transaction in a manner similarto that previously described.

As another example, payment funds may be automatically transferred to anon-line investment account or an on-line bank account. This account maybe maintained by an investment service or bank that may access interfaceexchange 130 using any of the techniques described herein. The funds maybe transferred into this account in a variety of ways. For example, thesender may designate the recipient's account so that when information onthe payment reaches interface exchange 130, switch 134 (see FIG. 1B)routes information on the payment to the investment service or bankwhere the funds may be deposited into the designated account.Alternatively, a recipient may have a record in database 136 that anyfunds to be received from any source, or from specific sources, betransferred automatically to the on-line account. As another example, arecord of the funds transfer may be maintained at interface exchange 130until the recipient is notified and then specifies that the funds shouldbe placed in the on-line account. The actual transfer of funds may bemade using any of the techniques described herein, such as by an ACHtransfer.

In a similar manner, funds may be transferred to an account of anon-line purchase service. In this way, transferred funds may be accessedby a user to make purchases using an on-line auction or purchase site.

Finds may be transferred to a person's bank account using a reverse orreturn transaction. For example, a user may present their debit cardalong with payment at a location having a POS device. The card is readby the POS device, and a reverse or return transaction is performed tocredit the bank account associated with the debit card. In this way, thefunds may be automatically credited to the user's bank account.

Another technique for paying out funds is by having the sender generatea sender key at the time of payment. This sender key may be transmittedto interface exchange 130 using any of the techniques described herein.Alternatively, the sender key may automatically be generated byinterface exchange 130. The sender then provides the sender key to therecipient using any technique, such as, for example, by telephone,e-mail, regular mail, facsimile, in person, or the like. Optionally, thesender key may be stored on some type of media, such as a card, that issent to the recipient. Interface exchange 130 also generates aconfirmation code. This confirmation code may be accessed by therecipient by interfacing with interface exchange 130 using any of thetechniques described herein. With the sender key and the confirmationcode, the recipient may access an ATM, kiosk or the like that is coupledto interface exchange 130 and receive a cash payout at the ATM or kiosk.For example, the recipient may access ATM 114 of ATM network 140 toreceive a payout. Conveniently, a card may be inserted into the ATM togain access to the ATM functions or to provide the ATM with the senderkey. Optionally, the payment made at the ATM or kiosk may be in any ofthe forms described herein, including the crediting of a stored valuecard, the crediting of a bank account, or the like.

When receiving payment, a variety of techniques and equipment may beused to facilitate entry of information relating to the payment. Forexample, a MICR reader may be used to read a MICR line from a check ofthe recipient to permit interface exchange 130 transfer the funds to abank account of the recipient. A card reader may be used to read themagnetic stripe from a card containing information on an account of therecipient. This information may be transmitted to interface exchange 130to permit such an account to be credited. A keypad or keyboard may alsobe used to permit account information to be entered. For example, akeyboard may be used to enter recipient account information into a website or other on-line screen for on-line or internet accounts that areto receive the funds. Another option is the use of an OCR scanner orother reader to permit OCR or other account information, such as barcodes, to be read into the system. For example, a recipient may wish touse the transferred funds as payment for an outstanding bill, such as aloan payment, phone or utility bill. In such cases, the accountinformation may be scanned off of the bill or invoice and sent tointerface exchange 130 that may transmit the funds to the holder of theoutstanding bill using any of the techniques described herein. Stillfurther, various biometrics equipment may be used to identify anexisting customer that is tied to an account. Examples of biometricsthat may be read include facial recognition, fingerprint, retinal oriris scanning, and the like. This information may be transmitted tointerface exchange 130 that may include an engine determine therecipient and then perform a look-up in the database to determine therecipient's account. The funds may then be transferred to this account.

Another feature of the invention is the ability for either a sender or arecipient to receive information on what value is in the system andavailable for sending or receiving. Hence, when interfacing with thesystem using any of the interfaces (such as interfaces 110, 112, akiosk, an ATM, an IVR system, a computer, a PDA, and the like) a usermay enter identification information and then receive a summary of whatvalue is in the system. For example, a sender may access the system andreceive information as to previous transfers, pending transfers,transferred but unclaimed value, and value stored in a stored valueaccount. Other information that may be provided includes information onwhy the value was input, such as for a money transfer, for a storedvalue account, for bill payment, and the like. As another example,information may be provided on the status of the input or on the form ofpayment used when the value was input into the system, such as by cash,credit card, money order, check or the like. The time that the money wasinput may also be included.

On the receiving side, the recipient may receive information such astransferred value that remains in the system, a summary of valuetransferred out of the system, and the like. Other information that maybe provided includes where the funds originated, the time of transfer,and the like.

Once logged into the system, either a sender or a recipient may receiveinformation on how the value may be transferred or withdrawn from thesystem. This information may be provided in summary form having a globallist of options, or may be one or more recommended options based oninput from the sender or recipient. One example of how such informationmay be provided to a sender is illustrated in FIG. 6.

In FIG. 6, the sender accesses the host computer system using any of thedevices described herein and requests to transfer money or value asshown in step 400. Optionally, the host system may list all availableoptions for transferring the money as shown in step 410. Such a list mayinclude any of the value transfer options described herein, such as apayment by money order, a transfer to an account of the recipient,payment onto a card, or the like. Optionally, the sender may select oneof the displayed options as shown in step 420 and proceed in accordancewith the selected option.

Alternatively, the sender may be prompted for various types ofinformation on the transfer so that the host system may recommend one ormore options. These may include, but are not limited to, requestinginformation on the type of recipient of the money as shown in step 430.Conveniently, a box for keying this information may be provided, orpredetermined types may be selected from a drop down menu. For instance,the sender may select types such as a family member, a coworker, acharity, a retailer, or the like. As shown in step 440, the sender mayalso be requested to enter information on the amount of the transfer.This may optionally be keyed in, or selected from a drop down menu. Thesender may also be asked for information on available pick-up locationsas shown in step 450. For instance, the sender may select from a list ofpick-up locations, such as a specific postal code, city, country, or thelike. Further, as shown in step 460 the sender may be asked forinformation on the type of interfaces available to the recipient. Suchinterfaces may include, for example, a money transfer location, apersonal computer, an ATM, a financial kiosk, a bank or credit union, orthe like. Optionally, other types of information relative to a valuetransfer may also be requested. For example, as shown in step 470 thesender may optionally be asked about the intended use of the funds.

Using the information provided by the sender, the host computer systemprocesses the information to generate one or more recommended optionsfor transferring the money as shown in step 480. The host computersystem may have logic and look-up tables to determine such options basedon standard inputs. These may then be displayed to the sender as shownin step 490. For example, if the recipient does not have a personalcomputer, the recommended option may be to pick-up the funds at a brickand mortar location, such as a money transfer location. Alternatively,the option may be to a stored value account that the recipient mayaccess from an ATM machine or a kiosk. If the recipient is located in arural area, the option may be to generate and mail or hand deliver amoney order. As a further example, if the intended use of the funds werefor a particular store, the recommended option may be for a stored valuecard accepted by the store. Conveniently, the options may be displayedin text form to the sender or verbally communicated. For instance, therecommended option may state: We recommend an in-person pick up in cashat a money transfer location that is located at 123 Vine Street, LosAngeles, Calif.

Such a process may also be used when the transfer of value is to be usedto pay an amount due, such as for bill payment. For example, at a remotecomputer, point of sale device, PDA, cell phone, or the like, a customermay enter a request to pay a bill. The customer (or a customer servicerepresentative) may be asked to enter information needed to process thebill payment, such as the customer's account, the amount to be paid, thetype of payment instrument, and the like. This information may then betransmitted to the host computer system in a manner similar to thatdiscussed in other embodiments. An account associated with the paymentinstrument may be evaluated to insure that sufficient funds areavailable to pay the bill. For example, the host computer system mayperform a pre-authorization step by evaluating a checking account, asavings account, a credit card account, a stored value account, or thelike.

Also, the host computer system may transmit to the remote computer (orsuch information may be stored at the remote computer), a list ofpayment options that are available using the desired payment instrument.In some cases, payment options using other types of payment instrumentsmay also be suggested. Such payment options may include, for example, areal time guaranteed funds payment by receiving cash at a third partylocation which guarantees payments of the funds to the biller, an ATMdebit (with or without a PIN), an ACH transfer, payment by check, or thelike. A list of fees for each of these options may also be provided tothe customer.

Once the customer approves an option and has provided a type of paymentthat has been authorized, the host computer system may facilitateprocessing of the payment. This may take place by requesting that apayment account be debited so that the funds may be transferred to thebiller. Various intermediate accounts may be used to store and forwardthe funds as needed. The appropriate fees may also be deducted. Further,the customer may be provided with a receipt showing the form of paymentused, the fees charged, and a confirmation that the payment was made.

A similar process may be used at the recipient side to providerecommended options for receiving the funds. For example, as shown inFIG. 7, the recipient may access the host computer system to requestpayment of transferred money as shown in step 500. The recipient may beprovided with a list of all available payment options, or may beprompted to enter information that will be used to generate one or morerecommended payment options. For example, as shown in step 510, therecipient may be asked for information on the intended use of the money.The recipient may also be asked for information on the type of accountsavailable to the recipient as shown in step 520. Such accounts mayinclude any of those described herein, such as bank accounts, creditaccounts, investment accounts, stored value accounts, and the like. Asshown in step 530, the recipient may also be asked for information onthe amount of the transfer. Other questions regarding the payment mayalso be asked. The host computer systems takes these inputs andgenerates one or more recommended options for receiving the money asshown in step 540. The host computer system may include logic and lookup tables that match recommended options based on the inputs. These arethen displayed or verbally communicated to the recipient. For example,if the recipient does not have any account and the intended use is acash payment to a friend, the recommended option may be a cash paymentat a money transfer location. As another example, the recipient may havea checking account and wishes to use the funds to pay for a service bycheck. In such a case, the recommended option may be a transfer of thefunds to the recipient's checking account.

Another embodiment of the invention relates to restrictions that may bemade relative to the payment of funds. Such restrictions may be limitthe types of payments that may be made at the time of withdrawal, or mayplace restrictions on how the funds are paid when the payment is made tomultiple recipients. For example, the sender may designate that thefunds must be paid out to a debit card, stored value card, phone card,gas card, or the like. Further, the sender may place restrictions on howmuch of the transferred funds may be withdrawn from the system overtime, e.g., the recipient may withdraw no more than $50 per week untilthe money has all been withdrawn. For multiple recipients, the sendermay place restrictions, such as the amount that each of the recipientsis entitled to withdraw, or may require that some or all of therecipients must be present when making the withdrawal. Alternatively,any of the recipients may withdraw any of the amount at any time.

Referring to FIG. 8, one embodiment for placing such restrictions willbe described. As shown in step 550, the sender initially inputs valueinto the system using any of the techniques described herein. The sendermay then be prompted as to whether the sender wishes to send the fundsto multiple recipients as shown in step 560. If so, the process proceedsto step 570 where the sender may designate multiple recipients that maywithdraw the funds from the system. The sender may also be asked whetherthe sender wishes to place restrictions on the withdrawals as shown instep 580. If so, the process proceeds to step 590 where the senderinputs any desired restrictions. Such restrictions may conveniently beselected from a menu displayed to the sender or verbally recited usingan IVR system. These restrictions are stored by the host computer systemas shown in step 600, and the process ends at step 610. When an intendedrecipient accesses the system to withdraw funds, the withdrawal may berestricted based on the limitations set by the sender. For example, thesender may require that all recipients be present before funds may bewithdrawn. If only one of the recipients tries to withdraw the fundsfrom a money transfer location, the clerk will receive a message thatall recipients must be present and may decline payment of the funds. Asanother example, the limitation may be that the funds be placed on aphone card. If the recipient requests cash at a money transfer location,the request may be denied, and the recipient be provided with the phonecard.

Many individuals, small entities or business, or the like may have aperiodic or short term need to receive multiple payments or moneytransfers. However, because of such limited use, such individual orentities may not wish to set up a commercial account with a traditionalmoney transfer service, and the cost of doing so may be costprohibitive. The systems of the invention may accommodate such a need bypermitting such individuals or entities to use the money transfer systemwith certain restrictions. For example, the accounts may be limited bytime, amount transferred, the number or transfers, or the like, alone orin combination. Further, such accounts may be certain performancerequirements, such as transactions minimums.

As one example, an individual may have 15 items to auction off over theinternet. The individual will only accept guaranteed funds. The itemsmay be those that are particularly appealing to cash customers, so theindividual needs a cash settlement method. Further, the individual needsto insure that the fees for such a service are economically viable. Byestablishing a special relationship with the money transfer systems ofthe invention with certain restrictions, such as for no more than 15transactions over a certain time period, the seller is able to offer acash settlement method to potential buyers. Further, the funds may bedeposited directly into the seller's account with a reasonable fee.

Such a method may be used for internet auctions, fundraisers, situationsinvolving a limited number of purchases, such as classifieds, and thelike. Further, such a method may be implemented using the internet, by afaxed applications, by a phone call, or by any of the techniquesdescribed herein.

Referring now to FIG. 9, one method for paying for goods or services insuch a manner will be described. At step 650, account information on apayee may be entered into a money transfer system. The money transfersystem may be any of those described herein, and the information may beentered electronically, such as over the internet, by fax, by a phonecall, or the like. This information may include the name of the payee,the payee's preferred method of payment, such as a direct deposit intoan account of the payee, and the like. Further, the payee agrees toplace one or more restrictions on transfers into the account from one ormore payors as shown in step 660. This information may then be storedusing the money transfer system. Such restrictions may be the amount ofthe transfers, the number of transfers, the time during which transfersmay be made, and the like.

Once the relationship is established, cash payments may be made at amoney transfer location from payor for good or services offered frompayee as shown in step 670. In this way, good funds are ensured bycollecting cash for the payment. When payment is made a recordindicating that a cash payment has been made may be transferred to thepayee using the money transfer system as shown in step 680. Thisnotification may conveniently be sent electronically, such as by ane-mail. Further, funds may be transferred to the account of the payeefor the payment. As such, the payee or seller is able to receive goodfunds for each of the purchases. As shown in step 690, the seller mayship the goods or provide the services offered by the seller.

The ensuing description provides preferred exemplary embodiment(s) only,and is not intended to limit the scope, applicability or configurationof the invention. Rather, the ensuing description of the preferredexemplary embodiment(s) will provide those skilled in the art with anenabling description for implementing a preferred exemplary embodimentof the invention. It being understood that various changes may be madein the function and arrangement of elements without departing from thespirit and scope of the invention as set forth in the appended claims.

1. A method for paying for goods or services using a network, the method comprising: providing a money transfer system with account information on a payee; placing at least one restriction on transfers into the account from one or more payors, and storing the restriction in the money transfer system, wherein the restriction is established by the payee; receiving a cash payment at a money transfer location from at least one payor, wherein the cash payment is to pay for a good or service offered by the payee; sending a record to the money transfer system over a network indicating that the cash payment has been made; and transferring finds to the account of the payee over a network based on the cash payment using the money transfer system.
 2. A method as in claim 1, wherein the restrictions are selected from a group consisting of the number of allowed transfers into the account of the payee, a time period for making transfers into the account of the payee, and the amount of each transfer into the account of the payee.
 3. A method as in claim 1, wherein the funds are transferred using an ACH transfer.
 4. A method as in claim 1, further comprising transmitting a record of payment to the payee from the money transfer system.
 5. A method as in claim 4, further comprising shipping an item from the payee to the payor after receipt of the record of payment.
 6. A method as in claim 2, further comprising collecting a transaction fee along with the payment.
 7. A method for paying for goods or services using a network, the method comprising: providing a money transfer system with account information on a payee; establishing an agreement between the payee and a money transfer establishment regarding a fee for transferring funds into the account of the payee, wherein the fee is based on at least one restriction on transfers into the account from one or more payors; storing the restriction in the money transfer system; receiving a cash payment at a money transfer location from at least one payor, wherein the cash payment is to pay for a good or service offered by the payee; evaluating with the money transfer system whether a transfer of funds based on the cash payment is in compliance with the restriction in the agreement; sending a record to the money transfer system over a network indicating that the cash payment has been made; transferring funds to the account of the payee over a network based on the cash payment using the money transfer system.
 8. A method for paying for goods or services using a network, the method comprising: providing a financial system with account information on a payee; placing at least one restriction on one or more transfers into the account from one or more payors, wherein the at least one restriction is established by the payee; storing the at least one restriction in the financial system; receiving a payment from at least one payor, wherein the payment is to pay for a good or service offered by the payee; sending a record to the financial system over a network indicating that the payment has been received; and transferring funds to the account of the payee over a network based on the payment. 